French court rules against eBay for counterfeiting, orders damages paid to luxury group LVMH

French court rules against eBay for counterfeiting

PARIS — A French court has found eBay responsible for brand counterfeiting and ordered the online marketplace operator to pay the luxury group LVMH euro80,000 ($118,000) compensation for damages caused to famous perfume brands like Christian Dior and Kenzo.

The Paris-based LVMH SA conglomerate had sued eBay Inc., accusing the San Jose, Calif.-based company of using its brands as keywords in Internet searches.

The court’s ruling late Friday said eBay must pay a euro1,000 fine for each future infringement.

EBay has run into similar legal trouble with luxury brands in the past. It has given a petition signed by 750,000 people to the European Parliament to ask lawmakers to press for freer retail rules on the Internet.

In a statement Friday, eBay said it is “satisfied” that the French court did not honor Christian Dior’s request for euro4 million in damages.